Concepts of Psychology and Economics such as the Endowment effect, restricted optimization, retrospective biases, risk aversion, perspective theories, and perception of justice are providing a great deal of clarity to the perspective that people are more important than money.
Moreover, even though we are experiencing in constant changes, the salary continues to be the most important aspect to attract and retain talent.
Survey for employees based on different variables to change a job.
RETRIBUTION
strategy of adequate compensation
The retribution strategy of a company should be balanced and competitive both internally and externally. It should serve as an instrument to differentiate between distinct levels of performance and must be given sufficient importance to have satisfied employees.
A strategy of adequate compensation would be:
· Avoid losing talent for remuneration reasons
· Avoid difficulties in recruiting talented professionals
· Ensure efficient use of resources
¨There is nothing more unfair that treating different people
in the same manner with distinct productions¨
Frederick Taylor
What do we do at
AANPAK RETRIBUTION?
1. Description and evaluation of positions (Job Grading VS Job Levelling)
It is the base for the organization for any company and determines the organizational system, as well as selection of the employees, the compensation, training, development and performance management.
Why is it important to have the description and evaluation of the positions?
· Helps the organization to identify opportunities to improve the company structure
· Serves as a blueprint to design the salary slabs and system for professional clasification
· Ensures internal equity
· It serves as a guide to establish policies for social benefits
2. Fixed Retribution: Analysis of internal equity and design of salary slabs
The management of fixed compensation involves the following elements
· Analysis of the salary situations within a company
· Design the salary structure that permits differentiation of positions
· Governance of the fixed retribution that determines its management and evolution over time.
The salary slabs help to structure the positions in different categories or levels. They also help to take important decisions regarding the evolution of the position and decide on the desirable standards of external competitiveness to take control over the salary costs
3. Variable retribution, Performance evaluation and salary revisión: design and implementation
The design of variable compensation helps in:
· Variable salary costs based on results
· Link retribution and results of the organization
· Pay for performance
· Incentivize determined behaviours and actions
· Remunerate new forms of work
The variable is closely linked to performance systems, as well as annual increment reviews. Three concepts that must work together to get the most out of them.
4. External salary research (external equity)
A salary study aims to provide information on what people within a market charge for performing at a determined position.
The information that can be found in a salary research includes:
· Description of the sample
· Analysis Methodology
· Remuneration slabs
· Policies and practices
· Conclusions